British Security Industry Association to See Growth in Post 7/7 World

The security industry expects business to grow following this month's attacks on London, building on a trend that started in the wake of September 11 2001.

"Since 9/11 there has been a huge burst of activities and growth is being seen across the board in all sectors (of the security industry)," said Stefan Hay, deputy chief executive of the British Security Industry Association, whose members represent more than 70 per cent of the Pounds 6.5bn industry.

One of the fastest-growing fields has been in specialist security training. Companies offering courses in profiling, surveillance and crowd control, among other things, have sprung up only in the past three years. Now there are 20 enterprises in Britain alone offering these services.

"There was a time when security meant hiring a guy to lock the doors and turn on the alarm," said Ken Livingstone, director of Perpetuity Training, a training consultancy. "As a result of 9/11 and 7/7, security is now a top priority in the boardroom. Security managers are expected to have a full continuity and contingency plan in place to rehearse, practise and implement in the event of a terrorist attack."

The move towards more specialised knowledge has proved to be a boon for companies such as Perpetuity, which charges Pounds 490 for a one-day course on risk assessment and Pounds 1,495 for a three-day session on surveillance. Many who attend the courses are sent by their companies, but a growing number are former army officers or policemen who want to make the transition into the more lucrative security business.

Mr Livingstone declined to give specific turnover figures but said business had more than doubled since he set up the company three years ago.

Growth was likely to continue as the demand for skilled security personnel intensified, he added.

The competition among companies for the most qualified security staff is also driving up standards and wages. It is no longer enough to come from a military or police background. Instead, a university degree in security management is now a prerequisite to becoming a security manager. Depending on the company, security consultants and managers can make anywhere between Pounds 30,000 and Pounds 70,000.

Companies selling security technology such as video surveillance cameras are also likely to see business buoyed by the latest attacks.

Although there has not been an immediate leap in orders following this month's bombings, this is mainly because interest in such technology has already been increasing over the past four years since the attacks on New York and Washington and the train bombings in Madrid last year.

Peter Strom, chief executive of March Networks, a company that provides digital CCTV camera equipment to transportation networks, said the Madrid bombings shook the foundations of the industry. "After that, governments all around the world really started to pay more attention to surveillance on public transport systems," he said.

Before Madrid, the focus had been on installing high-technology CCTV systems in airports, while public transport authorities had chiefly seen the cameras as a way to combat hooliganism or other crime. The terrorist threat, Mr Strom said, suddenly opened up federal and central government funding to public transport networks in a way that had not previously been available.

Almost immediately afterwards, he said, the company saw a large increase in inquiries. The same had not happened following the London bombings, but Mr Strom said there was a possibility the decision-making process on contracts would accelerate.

For all the changes taking place in the industry, Mr Hay said the bottom line for most of the other sector was only modest growth. "Buyers are not necessarily spending more, they are spending more wisely. Customers are looking for an integrated solution. They are looking to work with someone that can provide both the security products and services."